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IMPACT ON BANGLADESHI
BUSINESS
BELT & ROAD INITIATIVE
TEAM FIVE
MD IMRAN HASAN
ID:18211029
ATIKUR RAHMAN ANIK
ID:18211028
AZMIRA BINTEY JANNATY
ID:18211010
KAJI ATIYA ANNAN
ID:18211009
MAHMUD JAMIL
ID:18211030
Content Covered
1. What is BELT&ROAD Initiative
2. Two main component of BRI
3. Route of BRI
4. Reasons behind China's BRI
5. What's BRI means for Bangladesh
6. Impact of BRI
7. BRI benediction for Bangladesh
8. Impact of deferent types of business
9. Drawbacks and challenges
10. Economy of Bangladesh
11. S.W.O.T analysis
12. Conclusion
WHAT Belt and
Road Initiative Is?
A grand development strategy
proposed by Chinese President Xi
Jinping
Focuses on connectivity and
cooperation between Eurasian
countries and links regions
It was initially called One Belt and
One Road, but in mid-2016 the
official English name was changed
to the Belt and Road Initiative
SILK ROAD ECONOMIC BELT MARITIME SILK ROAD
Two Main Components Of (BRI)
 Land-based
 Focuses on bringing together China, Central
Asia, Russia and Europe
 Linking China with the Persian Gulf and the
Mediterranean Sea through Central Asia and
West Asia
 Connecting China with Southeast Asia, South
Asia and the Indian Ocean
 Designed to go from China’s coast to
Europe
 Through the South China Sea and the
Indian Ocean in one route
 China’s coast through the South China
Sea to the South Pacific in the other
Economic benefits
Geopolitical benefits
Regional impacts of BRI initiative
This project will spell great economic benefits for China
China is looking for new markets for Chinese goods
BRI initiative will give China access to some
strategically important geopolitical countries
In some poorer countries, where infrastructural
development is significantly low, this initiative can create
new market demand
If executed well, this project will ensure China’s
stronghold on regions, such as: Africa, East Europe, and
East Asia.
ReasonsbehindChina’sBRI
What BRI means for Bangladesh?
 Bangladesh officially became part of
BRI in October 2016 after a visit by
Chinese president Xi Jinping when
the two countries signed several
deals worth $21.5 billion
 Bangladesh is part of the proposed
Bangladesh-China-India-Myanmar
corridor (BCIM), one of the six corridors
of BRI. China has already shown
interest in developing a deep sea-port
in Bangladesh under the 21st century
maritime Silk Road initiative.
 Geographically,
Bangladesh can be a
connecting corridor
between semi-
industrialized ASEAN
countries and the
highly populated Indian
sub-continent. It is
strategically located
between South Asia
and South-East Asia
which makes it a very
important player in
trans-regional
integration.
Impact of Belt Road Initiative
Contacts for gaining more
benefits from the giant
economies
Tariff is no more a concern
Reduce the lead time
substantially
Link the special economic
zones with the OBOR
initiative
Asian commitment to unity
and cooperation
Major Benefits and
Opportunities of Belt
Road Initiative
BRI’s Benedictions For Bangladeshi Business
A Reducing the trade gap between the two
countries
B Duty-free access of 22 major Bangladeshi
products
C
Economic integration between Bangladesh
and China is expected to grow
D Cargo transport time is expected to be
reduced
A B C D
Financial CooperationE
Impact On Different Types Of Business
Drawbacks And Challenges
Not having well-
functioning financial
system
01
Bangladesh does not have a
well-functioning financial
system to absorb such large
amounts of investment.
Large-scale loans might harm
macro-economic stability.
Corruption, policy
deficits, and lack of
transparency
02
Corruption, policy
deficits, and lack
of transparency
are also matters of
concern.
India’s
boycotting BRI
03
Sino-Indian rivalry might
jeopardize Bangladesh’s
prospects. India has already
boycotted OBOR over
Chinese involvement in the
China Pakistan economic
Corridor (CPEC), which,
according to India, violates its
sovereignty.
 42nd largest in the world
 31st largest by purchasing power parity
 The second fastest growing major
economy of 2016, with a rate of 7.1
 The financial sector of Bangladesh is the
second largest in the subcontinent.
 Its economy is growing day by day
Economy Of Bangladesh
 Knit or crochet clothing, accessories: US$18.9
billion (44.9% of total exports)
 Clothing, accessories (not knit or crochet): $17.7
billion (42%)
 Miscellaneous textiles, worn clothing: $1.1 billion
(2.5%)
 Footwear: $936.4 million (2.2%)
 Paper yarn, woven fabric: $641.6 million (1.5%)
 Fish: $525.5 million (1.2%)
 The others are
 Headgear
 Leather
 Raw hides
 Tobacco, manufactured substitutes
Main Export Commodities
• Machinery including computers: US$6.7 billion
(12.7% of total imports)
• Cotton: $6.6 billion (12.4%)
• Mineral fuels including oil: $4.6 billion (8.7%)
• Electrical machinery, equipment: $3.9 billion (7.3%)
• Iron, steel: $2.8 billion (5.2%)
• Vehicles: $2 billion (3.9%)
• Manmade staple fibers: $1.9 billion (3.6%)
• Plastics, plastic articles: $1.9 billion (3.6%)
• Animal/vegetable fats, oils, waxes: $1.7 billion
(3.3%)
• Cereals: $1.5 billion (2.8%)
Main Import Commodities
Germany
($6.11B)
The United
States($5.81B)
Spain
($2.79B)
France
($2.77B).
Singapore($2.55B)
Japan ($1.68B)
Brazil ($1.6B)
China($15.1B)
India($7.05B)
Top Export Destinations
S.W.O.T
Strengths
 Advantageous geogr
aphical position
 Availability of cheap
labor, physical and
political proximity
 China’s
geopolitical and geo-
economic interests.
.
Weakness
 Small business
Abridgement
 Huge trade gap
 Corruption, policy
deficits, and lack
of transparency
mate
Opportunity
 China – Bangladesh
Trade Connection
 Developing a deep
Sea-port in
Bangladesh
 Moving away from
low-tech industries to
high-tech ones.
 Economical
Development
Threats
 Large-scale loans
might harm macro-
economic stability.
 Will become
economic colony
of china
 Sino-
Indian rivalry might
jeopardize
Bangladesh’s
prospects
Encapsulation
Asian Regional
Cooperation
Worldwide Business
Expansion
The BRI will take china to a new level of
economy. And soon China will grow as
the great power in the word.
Greater economic cooperation and
integration so China and Europe can be
two engines of global growth and
development.
Increase trade and investment flowsEnhance China’s status as a great power
BELT & ROAD INITIATIVE IMPACT ON BANGLADESHI BUSINESS
BELT & ROAD INITIATIVE IMPACT ON BANGLADESHI BUSINESS

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BELT & ROAD INITIATIVE IMPACT ON BANGLADESHI BUSINESS

  • 2. TEAM FIVE MD IMRAN HASAN ID:18211029 ATIKUR RAHMAN ANIK ID:18211028 AZMIRA BINTEY JANNATY ID:18211010 KAJI ATIYA ANNAN ID:18211009 MAHMUD JAMIL ID:18211030
  • 3. Content Covered 1. What is BELT&ROAD Initiative 2. Two main component of BRI 3. Route of BRI 4. Reasons behind China's BRI 5. What's BRI means for Bangladesh 6. Impact of BRI 7. BRI benediction for Bangladesh 8. Impact of deferent types of business 9. Drawbacks and challenges 10. Economy of Bangladesh 11. S.W.O.T analysis 12. Conclusion
  • 4. WHAT Belt and Road Initiative Is? A grand development strategy proposed by Chinese President Xi Jinping Focuses on connectivity and cooperation between Eurasian countries and links regions It was initially called One Belt and One Road, but in mid-2016 the official English name was changed to the Belt and Road Initiative
  • 5. SILK ROAD ECONOMIC BELT MARITIME SILK ROAD Two Main Components Of (BRI)  Land-based  Focuses on bringing together China, Central Asia, Russia and Europe  Linking China with the Persian Gulf and the Mediterranean Sea through Central Asia and West Asia  Connecting China with Southeast Asia, South Asia and the Indian Ocean  Designed to go from China’s coast to Europe  Through the South China Sea and the Indian Ocean in one route  China’s coast through the South China Sea to the South Pacific in the other
  • 6.
  • 7. Economic benefits Geopolitical benefits Regional impacts of BRI initiative This project will spell great economic benefits for China China is looking for new markets for Chinese goods BRI initiative will give China access to some strategically important geopolitical countries In some poorer countries, where infrastructural development is significantly low, this initiative can create new market demand If executed well, this project will ensure China’s stronghold on regions, such as: Africa, East Europe, and East Asia. ReasonsbehindChina’sBRI
  • 8. What BRI means for Bangladesh?  Bangladesh officially became part of BRI in October 2016 after a visit by Chinese president Xi Jinping when the two countries signed several deals worth $21.5 billion  Bangladesh is part of the proposed Bangladesh-China-India-Myanmar corridor (BCIM), one of the six corridors of BRI. China has already shown interest in developing a deep sea-port in Bangladesh under the 21st century maritime Silk Road initiative.
  • 9.  Geographically, Bangladesh can be a connecting corridor between semi- industrialized ASEAN countries and the highly populated Indian sub-continent. It is strategically located between South Asia and South-East Asia which makes it a very important player in trans-regional integration.
  • 10. Impact of Belt Road Initiative Contacts for gaining more benefits from the giant economies Tariff is no more a concern Reduce the lead time substantially Link the special economic zones with the OBOR initiative Asian commitment to unity and cooperation Major Benefits and Opportunities of Belt Road Initiative
  • 11. BRI’s Benedictions For Bangladeshi Business A Reducing the trade gap between the two countries B Duty-free access of 22 major Bangladeshi products C Economic integration between Bangladesh and China is expected to grow D Cargo transport time is expected to be reduced A B C D Financial CooperationE
  • 12. Impact On Different Types Of Business
  • 13. Drawbacks And Challenges Not having well- functioning financial system 01 Bangladesh does not have a well-functioning financial system to absorb such large amounts of investment. Large-scale loans might harm macro-economic stability. Corruption, policy deficits, and lack of transparency 02 Corruption, policy deficits, and lack of transparency are also matters of concern. India’s boycotting BRI 03 Sino-Indian rivalry might jeopardize Bangladesh’s prospects. India has already boycotted OBOR over Chinese involvement in the China Pakistan economic Corridor (CPEC), which, according to India, violates its sovereignty.
  • 14.  42nd largest in the world  31st largest by purchasing power parity  The second fastest growing major economy of 2016, with a rate of 7.1  The financial sector of Bangladesh is the second largest in the subcontinent.  Its economy is growing day by day Economy Of Bangladesh
  • 15.  Knit or crochet clothing, accessories: US$18.9 billion (44.9% of total exports)  Clothing, accessories (not knit or crochet): $17.7 billion (42%)  Miscellaneous textiles, worn clothing: $1.1 billion (2.5%)  Footwear: $936.4 million (2.2%)  Paper yarn, woven fabric: $641.6 million (1.5%)  Fish: $525.5 million (1.2%)  The others are  Headgear  Leather  Raw hides  Tobacco, manufactured substitutes Main Export Commodities
  • 16. • Machinery including computers: US$6.7 billion (12.7% of total imports) • Cotton: $6.6 billion (12.4%) • Mineral fuels including oil: $4.6 billion (8.7%) • Electrical machinery, equipment: $3.9 billion (7.3%) • Iron, steel: $2.8 billion (5.2%) • Vehicles: $2 billion (3.9%) • Manmade staple fibers: $1.9 billion (3.6%) • Plastics, plastic articles: $1.9 billion (3.6%) • Animal/vegetable fats, oils, waxes: $1.7 billion (3.3%) • Cereals: $1.5 billion (2.8%) Main Import Commodities
  • 18. S.W.O.T Strengths  Advantageous geogr aphical position  Availability of cheap labor, physical and political proximity  China’s geopolitical and geo- economic interests. . Weakness  Small business Abridgement  Huge trade gap  Corruption, policy deficits, and lack of transparency mate Opportunity  China – Bangladesh Trade Connection  Developing a deep Sea-port in Bangladesh  Moving away from low-tech industries to high-tech ones.  Economical Development Threats  Large-scale loans might harm macro- economic stability.  Will become economic colony of china  Sino- Indian rivalry might jeopardize Bangladesh’s prospects
  • 19. Encapsulation Asian Regional Cooperation Worldwide Business Expansion The BRI will take china to a new level of economy. And soon China will grow as the great power in the word. Greater economic cooperation and integration so China and Europe can be two engines of global growth and development. Increase trade and investment flowsEnhance China’s status as a great power